** FT News **
* EU and US toughen sanctions on Russia | Sweeping measures intended to cripple economy and convince the Kremlin to abandon its support for pro-Russian separatists in Ukraine
* Israeli military pushes deeper into Gaza | The IDF is racing to destroy a network of Hamas tunnels more extensive than it previously thought, even as condemnation of the war outside Israel grows Continue reading »
It is not hard to find evidence of Egypt’s extensive informal economy. It is present everywhere from the rickety microbuses that are poor Egyptians’ main means of transport, to the myriad small businesses which repair, build, supply and otherwise serve the needs of this population of some 85m people.
A World Bank report on the Egyptian labour market released on Wednesday, finds that informality in employment has been deepening, meaning that the proportion of Egyptians in poor-quality jobs without written contracts or social security has been rising, even during years of higher economic growth in the past decade. Continue reading »
By Jonathan Fenby of Trusted Sources
Tuesday’s announcement that former Politburo Standing Committee member Zhou Yongkang is to be investigated for corruption shows just how important the drive launched by Xi Jinping at the end of 2012 has become, with implications that stretch beyond the political power play into the economy. It is an important weapon in the simultaneous and wider reform programme with potential positive impact on the huge state sector and the investibility of its big listed companies. Continue reading »
Argentina’s national motto is En unión y libertad (In Union and Liberty). Should it, perhaps, consider changing it to Sui Generis?
Having found a variety of ways throughout its history to break new ground in macroeconomic and sovereign debt mismanagement, Buenos Aires this week may be forced into a new one.
Continue reading »
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It may be difficult to argue convincingly that a default could be anything but bad for Argentina’s economy – the real question is just how bad – but it is less clear what it means for politics.
You might think that little could be of greater importance for leaders of a country in very serious danger of falling into default in a matter of hours than to be doing their utmost to prevent this from happening. Continue reading »
By Dalibor Rohac of the Cato Institute
One can only hope that Vladimir Putin’s war against Ukraine, which has claimed, among others, the lives of the passengers of flight MH17, will come to an early end. But is it possible that the conflict, for all the suffering and senseless destruction it has brought, could have a silver lining?
The past 20 years, during which many Ukrainians thought of their country as a bridge between the West and the East, without any obvious enemies, were years of complacency and failed economic policies, which ultimately resulted in the capture of the government by special interests. Continue reading »
A long-running dispute between Croatia and Mol, the Hungarian oil and gas company, over control of Ina, Mol’s Croatian counterpart, has flared up again.
Zagreb is seething over a statement issued by Mol after talks on Friday which said the latest round of negotiations had achieved precisely nothing. The ministry told beyondbrics the Mol statement was “a lie” and threatened to publish a recording of the negotiations unless Mol withdraws it. Continue reading »
How much lower can it go? The consensus on Brazil’s economic growth this year has been revised downwards for nine successive weeks, according to the central bank’s latest survey of market economists, and now stands at a meagre 0.9 per cent.
The consensus on growth next year is not much better, at 1.5 per cent. As our chart shows, estimates of growth this year (the black line) and next have been in decline for the past 12 months. (Longer, in fact. When the bank first asked economists about growth in 2014, they expected it to come in at 3.8 per cent.) Continue reading »
** FT News **
* Former Yukos shareholders awarded $50bn | An arbitration panel in The Hague has ruled against Russia in one of the biggest awards ever made against a sovereign state
* Gaza conflict resumes as truce hopes fade | Diplomatic efforts to agree a cessation of hostilities continue after a brief pause in the fighting breaks down and casualties start to mount once more Continue reading »
Lee Eun-Seok woke up in the middle of the debris and looked for survivors but it was no use. Seoul had already turned into a huge hive, infested by giant hornets.
So goes the story in Hive, one of the “webtoons” that have become hugely popular in South Korea and which are poised to become the country’s next booming export, according to some bullish forecasts. Continue reading »
By Ben Simpfendorfer of Silk Road Associates
The Yuecheng in Beijing’s southern suburbs is a pleasant looking senior living home. Its main living room is full of books, potted plants, and mahjong tables. Its bedrooms are bright and well equipped and little different from the rooms that many might be used to seeing in Europe or the US.
Indeed, to the casual observer, the Yuecheng appears to be a pin-up for the commercial opportunities of selling to China’s growing ranks of elderly people. But that’s why it’s also misleading. Continue reading »
Israel and Brazil are locked in a diplomatic spat after Latin America’s biggest country issued a statement condemning Benjamin Netanyahu’s government for using “disproportional” force in Gaza but failed to mention the role of Hamas in the conflict.
An Israeli spokesperson called Brazil a diplomatic dwarf and described it as irrelevant in terms of international diplomacy. Continue reading »
By Ievgen Vorobiov of PISM
Three months of the Russia-led proxy war in Ukraine have claimed the lives of hundreds of Ukrainian servicemen and civilians. Until now, Western media have lazily ignored the complexity of the security crisis, while public opinion in the West has had more pressing concerns than an unfolding war on the edge of the European Union. EU politicians have had an easy ride in pretending to handle it.
But the downing of flight MH17 by pro-Russian militants is slowly changing perceptions in the West. It is still a war in a “faraway nation” but now with a dramatic number of foreign civilian casualties. If you had told a western European diplomat two weeks ago that EU citizens would be the next victims of Russia’s slowly-unfolding massacre in Ukraine, they would have dismissed you as paranoid and manipulative. Not any more. Continue reading »
As Narendra Modi, India’s new prime minister, gets his feet under his desk in New Delhi, it seems everyone is optimistic about the country’s prospects. That includes Ravneet Gill, chief executive of Deutsche Bank in India.
Modi won this year’s election with a powerful majority, having promised to restart India’s manufacturing sector, to get investment going by cutting red tape, and to improve the country’s crumbling infrastructure. Gill says all this will help India’s struggling banking sector – but running a bank in the country still isn’t an easy job. Continue reading »